Selling your home advertising would change if paid for by the Agents?

Barry Osborne

Your_home_is_SpecialThe Marketing World has changed greatly in the last few years and many a Chief Marketing Officer has lost his job because he continued with the idea that the more you spend the better will be the results. This I read just recently with a Marketing Person from the papers re enforcing the concept of spending more on the paper advertisements because it will make you a top performing Real Estate agent. It seems to me that the Real Estate Industry is way behind the times. What you want is to make your property stand out from the rest and not at a great expense which is possible using the internet to its full potential..

The article I refer to is “The difference between marketing and closing.” Read it for yourself. There are some good points in the article that really are worth discussing further in greater detail, but it may take me off track from what I want to say here. The fact is that there are two types of marketing that is being done in Real Estate and they are:

  1. Agency Brand Awareness

There is a great need to develop the Business Brand to ensure that the consumer has a good recollection of your company as well as good respect for what you sell and do. If they don’t know about you, how will they find you? Now in most industries, companies spend a lot of their own money to develop their Brand Awareness.

  1. Product (Property) Advertising

If you are selling any product you need to make as many people as possible aware that it is available to be purchased. It is also important to make the potential buyers appreciate why your product is better than the rest on the market.

It is essential that all businesses do both forms of marketing. The issue is that in Real Estate for some reason we have got the two forms of Marketing confused and they have somehow been grouped together. The real issue comes in the form that the Seller is the one paying for the advertising. They are paying for the advertising and marketing for selling their home. But as you see there is much emphasis on the Agency and the salesperson which is more about Brand awareness.

Say there was a major shakeup in the Real Estate Industry and the Agents were forced to pay for their own marketing costs of the Property   

Where would we find the Agents spending their Marketing dollars?

Of recent in the Saturday's Real Estate Magazine, we have seen the expansion of some advertisements even to the two page level. Imagine the cost that is involved. The issue becomes even more critical when you consider that most of the properties for sale are being Auctioned and the Auction rates given out by RP Data shows that again last week there was only a clearance rate of 35.2% in Queensland. That means to me that there are many Vendors out there who put up a lot of money to get very little or nothing for it.

So do you think that Agents would put their money into the press advertising if the success rate was as low as 35%?

I am very confident that if Agents were paying for marketing costs, then you would have an immediate reduction in the paper advertisements. It is evident from nearly every industry that the internet has taken over from press advertising and most of the buyers will do their searches on the Internet and not just in the paper. I must be honest here though, and say that there is still a need for some press advertising because the problem we have with the Real Estate product is that it is most likely only on the market for a very short period of time. Once sold, it is off the market. Therefore, we have to reach as many people as possible as soon as possible and depending on your home, if it is aimed at an older buyer then they may still be dependent on the newspaper. But one thing is for sure, the level of spending on the advertisements would drop drastically.

We can guarantee that the swing to the internet marketing will be enormous and will be the main source of marketing by far. However, this only creates a bigger issue for old style marketers in that they must understand the importance of the Effectiveness of Real Estate Marketing. Also it means much more than just running advertisements. 

The market is changing and there is a real need to change the way in which we market if we want to achieve the best results without expensive marketing fees. Doing the marketing in the same old way is not an option you need a new style of Innovative Marketing for Selling Your Home so please make contact and also accept this FREE eBook on Inbound Marketing. Go to Original Blog to collect